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1, China maintained a rapid development of market size in 2006 reached 486.25 billion yuan 2006 Chinas IC market sales 486.25 billion yuan, an increase of 27.8%, still maintained a high growth rate , but the growth rate has declined for three consecutive years shows Chinas IC market has high growth through the market early, entered the stable growth period.

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SemicoResearch president of market research firm recently said JimFeldhan, inventory expansion led to decline in capacity utilization, has prompted the company to lower 2007 growth forecast for the semiconductor industry. JimFeldhan annual summit in SemicoResearch opening remarks, said he predicted the capital equipment spending in 2007 decreased by 4%, capacity utilization fell below 85%. Taking into account these factors, JimFeldhan to the company for the semiconductor industry in 2007 growth forecast down to 5.8%. Last fall, when, SemicoResearch once its 2007 semiconductor industry growth forecast to 7%. 2006 sales growth of 9.2%. SemicoResearch use of proprietary algorithms to evaluate the turning point index (InflectionPointIndicator; IPI). Feldhan said that this is a used to predict sales trends usually can * indicators. He said, IPI indicates that semiconductor sales rose 5.8%, in fact, may be very optimistic forecasts. Market research firm iSuppli released in January, the overall surplus in the fourth quarter, the chip stocks to 43 billion U.S. dollars, at the end of the third quarter increased by 4.1 billion U.S. dollars by 4.9%. "Other forecasters think that growth will peak in 2007. We do not believe in this view." Feldhan said the audience of about 200. "We think this is a mild correction on." Feldhan said that average selling prices may fall about 1.4%, unit shipments are expected to increase up to 8%. Feldhan said, will be strong in 2008, is expected to grow by 15% of semiconductor sales, and REF03G Suppliers and may even reach 20%. He also noted that prospects for 2009 is expected to be fine, the next possible slowdown in 2010.

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According TerraSecuritiesASA analyst BruceDiesen, 1 Yue three-month average of global chip sales in December of last years 21.75 billion U.S. dollars when the fell to 21.65 billion U.S. dollars. However, sales of unadjusted from last December when the annual rate of 5.9% to 13.7%, mainly because the 2007 Chinese New Year in February, and REF03G Price and in January 2006. Diesen said that growth slowed in December last year, China in January to improve the export situation technology products. Meanwhile, sales of Sonys PS3 disappointing sales of the Nintendo Wii more than expected. However, Wii sales incentives on the chip smaller. Diesen in the recently released report, said: "We believe that PC and mobile phone chip sales from last Decembers weak situation in the rebound, but is expected to consumer electronics chips, especially the game application chip sales growth slowing." Diesen said, Although the DRAM memory chip prices began to fall, but due to strong growth in bit shipments and the Spring Festival this year came late, in January sales will increase. Diesen maintain its forecast that 2007 global chip market will grow by 7%.

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